Thursday, June 30, 2016

Unions reject pay hike, threaten to go on strike

Dear Comrades,
New Delhi/Chennai, Jun 29 (PTI): The Confederation of Central Government Employees today rejected the pay hike announced by the government and threatened to go on a strike next week, a decision which got support from the central trade unions.

The Confederation said the pay hike approved by the Cabinet on the 7th Central Pay Commission's recommendations is "not acceptable".

Confederation plans protest from Monday; many feel let down by the minimum pay proposed.

Dear Comrades,

Confederation plans protest from Monday; many feel let down by the minimum pay proposed.


The Seventh Pay Commission recommendations did not receive an enthusiastic response from most government employees, with at least one employees’ federation threatening protests. Military officers said their real grievances had not been resolved.

Wednesday, June 29, 2016

NFIR Press Note : Expressed serious disappointment over the Government’s decision on 7th Pay Commission minimum wage

Dear Comrades,

NFIR Press Note : Expressed serious disappointment over the Government’s decision on 7th Pay Commission minimum wage
The National Federation of Indian Railwaymen (NFIR)’s General Secretary expressed serious disappointment and unhappiness over the Government’s decision on minimum wage. Although there is justification of upward revision of minimum wage, the Government has not done justice to the employees. Similarly, the multiplier factor has not adequately been revised, Dr. Raghavaiah General Secretary NFIR said.
Dr. Raghavaiah further said that as already decided by the NJCA, Railway employees will go on strike from 6:00 AM of 11th July 2016.
Source : NFIR

7th CPC – GOVERNMENT REJECTED ALL THE MODIFICATIONS SOUGHT BY THE NJCA

Dear Comrades,
7th CPC – GOVERNMENT REJECTED ALL THE MODIFICATIONS SOUGHT BY THE NJCA

NO INCREASE IN MINIMUM PAY AND FITMENT FORMULA

HOLD PROTEST DEMONSTRATIONS & RALLY IN FRONT OF ALL OFFICES AND AT ALL IMPORTANT CENTRES

NJCA will meet at 04:00 PM on 30th June 2016 to decide future course of action. Continue in full swing mobilization for indefinite strike from 11th July 2016.

M. Krishnan
Secretary General
Confederation

Cabinet approves implementation of the recommendations of 7th Central Pay Commission : PIB

Dear Comrades,

The Union Cabinet chaired by the Prime Minister Shri Narendra Modi has approved the implementation of the recommendations of 7th Central Pay Commission (CPC) on pay and pensionary benefits. It will come into effect from 01.01.2016.

In the past, the employees had to wait for 19 months for the implementation of the Commission’s recommendations at the time of 5th CPC, and for 32 months at the time of implementation of 6th CPC. However, this time, 7th CPC recommendations are being implemented within 6 months from the due date.

The Cabinet has also decided that arrears of pay and pensionary benefits will be paid during the current financial year (2016-17) itself, unlike in the past when parts of arrears were paid in the next financial year. 

The recommendations will benefit over 1 crore employees. This includes over 47 lakh central government employees and 53 lakh pensioners, of which 14 lakh employees and 18 lakh pensioners are from the defence forces.

Highlights:
1.  The present system of Pay Bands and Grade Pay has been dispensed with and a new Pay Matrix as recommended by the Commission has been approved. The status of the employee, hitherto determined by grade pay, will now be determined by the level in the Pay Matrix. Separate Pay Matrices have been drawn up for Civilians, Defence Personnel and for Military Nursing Service. The principle and rationale behind these matrices are the same.

2.   All existing levels have been subsumed in the new structure; no new levels have been introduced nor has any level been dispensed with. Index of Rationalisation has been approved for arriving at minimum pay in each Level of the Pay Matrix depending upon the increasing role, responsibility and accountability at each step in the hierarchy.

3.  The minimum pay has been increased from Rs.7000 to 18000 p.m. Starting salary of a newly recruited employee at lowest level will now be Rs.  18000 whereas for a freshly recruited Class I officer, it will be Rs.  56100.  This reflects a compression ratio of 1:3.12 signifying that pay of a Class I officer on direct recruitment will be three times the pay of an entrant at lowest level.

4.   For the purpose of revision of pay and pension, a fitment factor of 2.57 will be applied across all Levels in the Pay Matrices. 

5.   Rate of increment has been retained at 3%. This will benefit the employees in future on account of higher basic pay as the annual increments that they earn in future will be 2.57 times than at present.

6.   The Cabinet approved further improvements in the Defence Pay Matrix by enhancing Index of Rationalisation for Level 13A (Brigadier) and providing for additional stages in Level 12A (Lieutenant Colonel), 13 (Colonel) and 13A (Brigadier) in order to bring parity with Combined Armed Police Forces (CAPF) counterparts at the maximum of the respective Levels.

7.   Some other decisions impacting the employees including Defence & Combined Armed Police Forces (CAPF) personnel include :

·    Gratuity ceiling enhanced from Rs.10 to 20 lakh. The ceiling on gratuity will increase by 25 % whenever DA rises by 50%.
·  A common regime for payment of Ex-gratia lump sum compensation for civil and defence forces personnel payable to Next of Kin with the existing rates enhanced from Rs. 10-20 lakh to 25-45 lakh for different categories.
·     Rates of Military Service Pay revised from Rs.  1000, 2000, 4200 & 6000 to 3600, 5200, 10800 & 15500 respectively for various categories of Defence Forces personnel.
·  Terminal gratuity equivalent of 10.5 months of reckonable emoluments for Short Service Commissioned Officers who will be allowed to exit Armed Forces any time between 7 and 10 years of service.
·     Hospital Leave, Special Disability Leave and Sick Leave subsumed into a composite new Leave named ‘Work Related Illness and Injury Leave’ (WRIIL). Full pay and allowances will be granted to all employees during the entire period of hospitalization on account of WRIIL.

8.  The Cabinet also approved the recommendation of the Commission to enhance the ceiling of House Building Advance from Rs.  7.50 lakh to 25 lakh. In order to ensure that no hardship is caused to employees, four interest free advances namely Advances for Medical Treatment, TA on tour/transfer, TA for family of deceased employees and LTC have been retained. All other interest free advances have been abolished.

9.   The Cabinet also decided not to accept the steep hike in monthly contribution towards Central Government Employees Group Insurance Scheme (CGEGIS) recommended by the Commission. The existing rates of monthly contribution will continue. This will increase the take home salary of employees at lower levels by Rs. 1470. However, considering the need for social security of employees, the Cabinet has asked Ministry of Finance to work out a customized group insurance scheme for Central Government Employees with low premium and high risk cover.

10. The general recommendations of the Commission on pension and related benefits have been approved by the Cabinet. Both the options recommended by the Commission as regards pension revision have been accepted subject to feasibility of their implementation. Revision of pension using the second option based on fitment factor of 2.57 shall be implemented immediately. A Committee is being constituted to address the implementation issues anticipated in the first formulation. The first formulation may be made applicable if its implementation is found feasible after examination by proposed Committee which is to submit its Report within 4 months.

11. The Commission examined a total of 196 existing Allowances and, by way of rationalization, recommended abolition of 51 Allowances and subsuming of 37 Allowances. Given the significant changes in the existing provisions for Allowances which may have wide ranging implications, the Cabinet decided to constitute a Committee headed by Finance Secretary for further examination of the recommendations of 7th CPC on Allowances. The Committee will complete its work in a time bound manner and submit its reports within a period of 4 months. Till a final decision, all existing Allowances will continue to be paid at the existing rates.

12.  The Cabinet also decided to constitute two separate Committees (i) to suggest measures for streamlining the implementation of National Pension System (NPS) and (ii) to look into anomalies likely to arise out of implementation of the Commission’s Report.

13. Apart from the pay, pension and other recommendations approved by the Cabinet, it was decided that the concerned Ministries may examine the issues that are administrative in nature, individual post/ cadre specific and issues in which the Commission has not been able to arrive at a consensus.

14. As estimated by the 7th CPC, the additional financial impact on account of implementation of all its recommendations in 2016-17 will be Rs. 1,02,100 crore. There will be an additional implication of Rs. 12,133 crore on account of payments of arrears of pay and pension for two months of 2015-16.
  
AKT/VBA/NT/SK  (Release ID :146644) PIB

Media Report on 7th Pay Commission: Union Cabinet approves pay panel recommendations: Indian Express

Dear Comrades,

The Union Cabinet on Wednesday approved the recommendations made by the 7th pay commission.
The approval, which will be made public soon, is likely to see a higher increase in the basic pay than the nearly 15 per cent recommended by the 7th Pay Commission for over 1 crore government employees and pensioners.
The pay panel had in November last year recommended 14.27 per cent hike in basic pay at junior levels, the lowest in 70 years. The previous 6th Pay Commission had recommended a 20 per cent hike which the government doubled while implementing it in 2008.

Media Report on 7th Pay Commission : Cabinet clears 7th Pay Commission, higher salaries seen boosting urban demand : Firstpost

Dear Comrades,

The Cabinet has cleared all recommendations made by the Seventh Pay Commission report that will result in about 23.55 percent overall increase in salaries, allowances and pension for more than 1 crore government staff and pensioners. The move is expected to give a big boost to the economy as consumption demand in urban areas is likely rise owing to the rising income levels.

Media Report on 7th Pay Commission: 7th Pay Commission: Salaries, Pension Hike for Government Employees Is Lower Than In Decades : NDTV

Dear Comrades,

NEW DELHI: 

HIGHLIGHTS

  1. Pay Commission recommended 23.55% hike in salaries, allowances, pensions
  2. The move will impact nearly 50 lakh employees and 58 lakh pensioners
  3. Many senior government officials will now draw higher salaries than MPs
 A big pay hike for over a crore government employees and pensioners was cleared by the cabinet on Wednesday.

With this raise, several senior government officials will draw a higher salary than lawmakers in Parliament.

Salaries and allowances will rise by at least 23.5 per cent, which had been recommended by the 7th Pay Commission - the panel that decides on government salaries.

Tuesday, June 28, 2016

Seventh Pay Commission: Cabinet May Approve Bigger Hike, Says Report

Dear Comrades,


New Delhi: The Cabinet tomorrow is likely to approve higher increase in basic pay than the nearly 15 per cent recommended by the 7th Pay Commission for over 1 crore government employees and pensioners.

The pay panel had in November last year recommended 14.27 per cent hike in basic pay at junior levels, the lowest in 70 years. The previous 6th Pay Commission had recommended a 20 per cent hike which the government doubled while implementing it in 2008.

After considering the increase proposed in allowances, the hike in remunerations comes to 23.55 per cent. 
"Considering the tight fiscal position this year, the government may improve upon the Pay Commission recommendation for basic pay to 18 per cent or at best 20 per cent," a senior official said.

Cabinet Committee May Decide 7th Pay Commission Report on 29.6.2016

Dear Comrades,


15-20 % hike likely in Seventh Pay Commission, decision on Wednesday

Highly placed sources have told India Today that Prime Minister Narendra Modi has asked the Finance Ministry to place the recommendations of the Cabinet Secretary’s report on the seventh Pay Commission in the next Cabinet meeting on June 29.

In what promises to be a big bonanza for central government employees, a hike of 15-20 per cent in salaries is expected to be proposed under the Seventh Pay Commission.

Highly placed sources have told India Today that Prime Minister Narendra Modi today asked the Finance Ministry to place the recommendations of the Cabinet Secretary’s report on the seventh Pay Commission in the next Cabinet meeting on June 29.

Sources say that government employees are likely to get a pay hike of between 15-20 per cent over their current compensation with sources saying the recommendations of the pay commission are likely to be accepted by the Modi government.

In January, the government had set up a high-powered panel headed by Cabinet Secretary PK Sinha to process the recommendations of the Seventh Pay Commission.

Over 98.4 lakh government employees will be impacted by the Seventh Pay Commission recommendations. This figure includes 52 lakh pensioners

Source: www.indiatoday.in